In response to Chancellor Jeremy Hunt’s efforts to convince the controversial clothing firm Shein to list its shares in London, business committee chair Liam Byrne has raised concerns about alleged abuses in its supply chain.
Byrne emphasized the need for a rethink due to concerns over “forced labour” and the failure to strengthen safeguards against such practices in global factories supplying major firms.
Jeremy Hunt (Credits: The Independent)
The Labour MP highlighted the absence of progress on the Modern Slavery Bill, proposed in 2022 but never put before Parliament, which he believes is effectively dead.
This lack of action raises concerns, particularly in light of allegations of forced labour involving Uyghur Muslims in China’s Xinjiang province, where Shein has faced scrutiny.
Despite Shein’s assertions of a commitment to human rights and zero tolerance for forced labour, Byrne called for a reassessment by Chancellor Hunt and his team.
Byrne emphasized the importance of ensuring safeguards before encouraging British savers to invest in firms like Shein on the London Stock Market.
He cited dropped plans from the 2022 Queen’s Speech to ensure firms take steps to prevent the use of forced labour in their supply chains.
Jeremy Hunt and Wife (Credits: The Sun)
The concerns arose amidst reports of recent talks between Chancellor Hunt and Donald Tang, executive chairman of Shein, regarding the possibility of the company floating in the UK.
While Shein has been seeking approval for a New York listing, delays have been reported due to concerns about unethical conduct. Notably, in 2022, Shein admitted to labour abuses at its suppliers’ factories following a Channel 4 investigation.
The investigation revealed instances of workers being paid very low wages and subjected to long working hours. The revelations prompted widespread outrage and led to The Rolling Stones terminating a merchandising deal with Shein.
